Back in my younger poor-college-student years, I’ve always been pissed that my cell phone bill was always substantially more than what my monthly plan costs due to cell phone taxes. Arnold taxes the average Californian 13.18% of their cell phone bill. If you tack on federal tax (5.48%), an average Californian will pay an extra $7.46 per month in taxes for a $40 per month plan. That’s about $90 per year. I was looking for ways to reduce this number and this is what I did:
- Researched which state had the cheapest cell phone tax (found out that it was Nevada with 1.14% tax rate).
- Opt for e-statement, so Sprint emails me statements instead of sending me a paper statements to my home address.
- Change my address online to Caesar’s Palace Casino:
3570 LAS VEGAS BLVD S
LAS VEGAS, NV 89109
- Start supporting the Nevada State government and watch my bill go down.
Here is the result of changing my billing address.
Government Taxes & Fees San Jose City Utility Users Surcharge 1.17 California 911 Tax 0.11 California Universal Lifeline Tele Service 0.25 California Teleconnect Fund Surcharge 0.03 California Relay Service Device Fund 0.08 California High Cost Fund Surcharge 0.28 California State Excise Tax Surcharge 0.05 San Jose City 911 1.75
Surcharges & Fees California P.U.C. Tax Surcharge 0.04 Federal Usf Non-ld Surcharge 0.92 Federal Wireless Number Pooling And Portability 0.15 Federal E911 0.40
Government Taxes & Fees Nevada Relay Service Device Fund 0.03
Surcharges & Fees Clark County Gross Receipts Surcharge 0.75 Federal Usf Non-ld Surcharge 0.92 Federal Wireless Number Pooling And Portability 0.15 Federal E911 0.40
Three cents in Nevada related taxes. Notice that there is a Clark County surcharge that offsets the savings a little bit, but my taxes were still reduced by more than 50% overall. With this number, I’m only saving a $30 a year, but that’s because my monthly plan is low. People with more expensive plans will save a lot more since the Clark County surcharge is a flat fee.
If you have a cell phone, join me in sticking it to the man by using this loop-hole.